Changes in Organizational Structure: The Case of IG Farben

Toshio Yamazaki ()
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Toshio Yamazaki: Ritsumeikan University, Faculty of Business Administration

Chapter Chapter 10 in A History of German Business, 2026, pp 279-299 from Springer

Abstract: Abstract This chapter analyzes organizational reform in a large German company, IG Farben. In the 1920s, not only were rationalization efforts implemented, but organizational structure reform was also pursued. Enterprise concentration in the form of trust and consistent rationalization, production concentration and specialization based on product type, and the regrouping of production organizations and diversification have made organizational structure a critical problem. This chapter examines two stages in the organizational reform of IG Farben from a comparative viewpoint, with Du Pont as the leading chemical company in the United States. How organizational reform in this German company was implemented and why such attempts encountered limitations (in contrast to Du Pont’s success) are clarified.

Keywords: Central office; Committee organizatio Decentralized centralization; Diversification; Divisional structure; Enterprise concentration; IG Farben; Rationalization (search for similar items in EconPapers)
Date: 2026
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Persistent link: https://EconPapers.repec.org/RePEc:spr:sprchp:978-981-96-8476-2_10

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DOI: 10.1007/978-981-96-8476-2_10

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